Telia reported stable revenue of SEK 20.0 billion, unchanged year on year, while service revenue increased 2.1 percent, supported by strong performance in Sweden and Lithuania. Operating income declined to SEK 3.1 billion from SEK 3.6 billion, but total net income rose significantly to SEK 1.8 billion from SEK 0.7 billion, reflecting improved profitability.
Capital expenditure excluding spectrum and leases decreased to SEK 2.6 billion from SEK 2.8 billion, indicating disciplined investment. Telia highlighted strong demand for connectivity services, driven by AI and digital transformation trends requiring secure, high-quality networks.
For 2026, Telia reiterated its outlook with service revenue growth around 2 percent, adjusted EBITDA growth near 3 percent, CAPEX below SEK 13 billion, and free cash flow of about SEK 9 billion, underlining a focus on efficiency and sustainable growth.
Telia Sweden
Telia Sweden delivered steady growth during the quarter, supported by strategic investments, partnerships, and subscriber additions. The acquisition of Bredband2, consolidated from February, significantly boosted broadband scale, contributing to an increase of around 513,000 broadband subscriptions, while mobile postpaid subscriptions rose by about 52,000 and TV customers increased by roughly 23,000.
Revenue grew 0.9 percent, driven by strong service revenue growth of 3.0 percent, supported by higher demand for mobile services, TV offerings, business solutions, and secure mission-critical connectivity. Equipment sales declined but were offset by service gains.
Telia strengthened its content strategy through agreements with Viaplay and SkyShowtime, while also partnering with Brookfield to advance sovereign AI adoption. Adjusted EBITDA rose 6.4 percent with margin improving to 39.7 percent, reflecting operational efficiency. CAPEX increased slightly to SEK 936 million, supporting network improvements such as enhanced rail connectivity between Stockholm and Sundsvall.
Telia Finland
Telia Finland reported modest growth during the quarter, supported by strategic investments and cost control. The company increased its stake in fiber operator Valokuitunen from 40 percent to 49 percent, strengthening its position in high-quality converged services. Telia was also approved as a NATO framework supplier, opening new opportunities in digital communications. As part of efficiency measures, a net reduction of around 200 roles was announced.
Mobile postpaid subscriptions declined by about 14,000, while broadband subscriptions grew by around 8,000 and TV subscriptions rose by about 1,000. Revenue increased 1.4 percent on a like-for-like basis, driven mainly by equipment sales and modest service revenue growth of 0.3 percent. Fixed service revenue rose 3.2 percent, supported by business solutions and broadband demand.
Adjusted EBITDA grew 1.3 percent with a stable margin of 31.4 percent, reflecting cost discipline. CAPEX declined to SEK 284 million, indicating controlled investment levels.
Telia Norway
Telia Norway made strategic progress during the quarter with plans to combine its mobile radio access network with ice in a 50-50 joint entity, aimed at improving coverage and delivering long-term financial benefits. The company also became the first operator in Norway to launch commercial 5G standalone, enabling enterprises to access dedicated network capacity. Telia expanded its fiber footprint through a partnership with Sykkylven Energi, reaching around 3,000 households.
Mobile postpaid subscriptions declined by about 27,000 due to pricing and billing changes, while broadband subscriptions rose by around 2,000 and TV subscriptions fell by about 3,000. Revenue decreased 1.6 percent, mainly due to lower equipment sales, while service revenue edged down 0.1 percent.
Adjusted EBITDA fell 2.9 percent with margin at 45.2 percent, reflecting higher costs. CAPEX declined to SEK 351 million, indicating reduced investment levels.
Telia Lithuania
Telia Lithuania delivered strong performance during the quarter, supported by network leadership and infrastructure investments. Construction began on a new data center in Vilnius, which will connect with two existing facilities via a fiber-optic ring, enabling a resilient hybrid cloud model combining global cloud services with secure local data storage. An independent assessment by Rohde & Schwarz confirmed Telia operates the best mobile network in Lithuania.
Mobile postpaid subscriptions increased by around 5,000, while broadband and TV subscriptions declined by about 2,000 and 3,000 respectively. Revenue rose 7.4 percent, driven mainly by service revenue growth of 7.5 percent, supported by an 8.3 percent increase in mobile service revenue and solid fixed service performance.
Adjusted EBITDA increased 5.9 percent, though margin slightly declined to 41.5 percent. CAPEX rose to SEK 113 million, reflecting continued investment in infrastructure.
Telia Estonia
Telia Estonia advanced its network leadership with a major fiber rollout and full 5G standalone launch during the quarter. The company announced a fiber expansion program to connect around 136,000 additional households by 2032, increasing total coverage to about 575,000 households nationwide. Telia also strengthened its cybersecurity offering, with Telia Shield blocking more than 7.5 million threats within its first three months.
Mobile postpaid subscriptions increased by around 1,000, while broadband and TV subscriptions declined by about 2,000 and 3,000 respectively. Revenue grew 0.9 percent on a like-for-like basis, supported by service revenue growth of 0.6 percent and higher equipment sales.
Mobile service revenue rose 2.3 percent, driven by subscriber growth and higher ARPU, offsetting a slight decline in fixed services. Adjusted EBITDA increased 1.7 percent with a margin of 41.8 percent. CAPEX rose to SEK 100 million, reflecting continued investment in network infrastructure.
SHAFANA FAZAL
